P/E ratio for First Merchants Corporation (FRME)
P/E ratio as of September 2023 (TTM): 6.27
According to First Merchants Corporation 's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 6.26545. At the end of 2021 the company had a P/E ratio of 11.0.
P/E ratio history for First Merchants Corporation from 2001 to 2022
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | 11.0 | -19.39% |
| 2020 | 13.6 | 4.67% |
| 2019 | 13.0 | 22.5% |
| 2018 | 10.6 | -46.27% |
| 2017 | 19.7 | 4.37% |
| 2016 | 18.9 | 28.76% |
| 2015 | 14.7 | 7.22% |
| 2014 | 13.7 | -14.34% |
| 2013 | 16.0 | 52.02% |
| 2012 | 10.5 |
P/E ratio for similar companies or competitors
| Company | P/E ratio | P/E ratio differencediff. | Country |
|---|---|---|---|
 Old National Bank
ONB | 6.74 | 7.57% | 🇺🇸 USA |
 Lakeland Financial Corp LKFN | 12.6 | 100.64% | 🇺🇸 USA |
 German American Bancorp GABC | 8.72 | 39.25% | 🇺🇸 USA |
 First Financial THFF | 6.01 | -4.03% | 🇺🇸 USA |
 1st Source
SRCE | 8.12 | 29.59% | 🇺🇸 USA |
 Horizon Bancorp HBNC | 5.45 | -13.02% | 🇺🇸 USA |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.